Welcome to EWA – the united republic of Eagle Web Assets – newbie guide about monitoring your ROI, understand a few terms, example campaign.
Every affiliate marketer needs to track, monitor and understand their campaign. You can’t just think that you put $5 and profit $20 in return. That won’t happen without proper monitoring. Monitoring means you must understand what you are investing both in money and time, and what you will get in return. I have previously in the guides before explained that if you spend $1 and make $2 your ROI is 100%. This is definitely right but you should also remember that we didn’t count in your time that you spend on making the ads, the landing page etc.
It’s good if you understand terms like ROI, CTR (click trough rate) and CR (conversion rate). I usually follow this quote that is also motivational for me: “Measure twice and cut once”.
Knowing following terms would do work a lot easier. Again, it’s not something you need to know to make your first dollar at EWA but with this, you can go very far! I like to learn the things right from the first, so I don’t need to spend time when I have something working. I can put the time and effort into digging more into what I have working, to give it more traffic, to have more conversions etc, but we all have different learning process.
CPC: Cost Per Click. i.e. the total cost of impressions.
CPV: Cost Per View.
CPM: Cost Per thousands impressions.
EPC: Earnings Per Click. i.e. total revenue / number of clicks (make sure this is higher than your CPC).
CPA: Cost Per Action. i.e. total cost of traffic / number of conversions.
CPL: Cost Per Lead i.e commission per lead.
ROI: Return On Investment. i.e. revenue - cost / cost. 100% ROI means you doubled your money.
SUR: Sign Up Rate. i.e. signups / views. (used for email marketing).
SubID: Unique ID that record clicks an impressions and conversions on the offer.
Conversion pixel: URL from tracking software to be placed on your offer page to record conversions.
Impressions: Number of visitors on a LP or ad. For example when your ad is being seen on PoF.
Profit: Total of the money earned more than costs.
AM: Affiliate manager.